Korea Ocean Business Corp. Acquires Major Logistics Center in Dalton

News Summary

Korea Ocean Business Corp. has completed the acquisition of a $120 million logistics center in Dalton, Georgia, in a move to enhance supply chain efficiency for Korean businesses in the U.S. This center will facilitate export and import activities for Korean firms and is part of KOBC’s strategy to invest in a Global Logistics Supply Chain Investment Fund. The new facility offers 1.2 million square feet of space and is strategically located near key industries, serving as an ‘Overseas Joint Logistics Center’ for efficient operations.

Dalton, Georgia – Korea Ocean Business Corp. Acquires Major Logistics Center

Korea Ocean Business Corp. (KOBC) has successfully acquired a logistics center valued at $120 million in Dalton, Georgia, marking a significant investment aimed at bolstering supply chain efficiency for Korean businesses operating in the United States. This acquisition was achieved in collaboration with the Korean logistics company LX Pantos and seeks to enhance the competitiveness of Korean-owned firms exporting and importing goods through the U.S.

The acquisition comes as part of KOBC’s broader strategy to develop a Global Logistics Supply Chain Investment Fund, which aims to amass up to $287 million for the acquisition of additional logistics warehouses across Georgia. The fund, established in 2018, is dedicated to supporting and improving the infrastructure needed for efficient port and logistics operations that benefit Korean exporters and importers.

The new logistics facility in Dalton features two buildings covering a total area of 1.2 million square feet of warehouse space. Strategically located approximately 90 miles from Atlanta, the site is positioned near 140 domestic companies, including key players in the automotive and battery manufacturing sectors. This location will serve as an “Overseas Joint Logistics Center,” specifically designed to support small and medium-sized Korean enterprises engaged in export and import activities.

Strategic Importance of Georgia

The expansion into Dalton is viewed as a pivotal move for KOBC. As the head of KOBC’s marine finance division noted, Georgia represents a vital hub for overseas supply chains, which can drastically benefit Korean trade relations. The logistics center is set to streamline operations and provide enhanced services for the growing number of Korean companies trading with the U.S.

In 2024, the total goods and services trade between the United States and South Korea reached $239.6 billion, reflecting an 8% year-over-year increase. South Korea has now become the eighth-largest trading partner of the U.S., with a substantial two-way commerce totaling $17 billion. Major exports from the U.S. to South Korea include machinery, mineral fuels, and chemicals, while South Korean imports primarily consist of automobiles and electronics.

Supportive Trade Agreements

Recently, a critical trade agreement between the U.S. and South Korea played a substantial role in sustaining this trade momentum by averting a proposed 25% import duty on Korean goods. Under the terms of this agreement, South Korea has committed to purchasing $100 billion worth of U.S. energy products while investing $350 billion into vital sectors such as shipbuilding and semiconductors. This favorable trade environment is expected to further encourage mutual trade partnerships and investments.

Future Investment Plans

Following this acquisition in Dalton, KOBC is exploring additional investment opportunities in the U.S., with ongoing projects slated for Savannah, Georgia, as well as a potential logistics property in Port Klang, Malaysia. These developments align with the company’s mission to expand its logistical capabilities and provide more comprehensive support for Korean firms engaged in international trade.

As KOBC moves forward with its plans for growth and infrastructure enhancement, the investment in Dalton not only reflects a significant financial commitment but also signifies a strategic effort to enable Korean exporters and importers to navigate the complexities of supply chain logistics in a competitive global market.

Deeper Dive: News & Info About This Topic

• FreightWaves: South Korea Goes Big in Georgia
• Korea Herald: Major Logistics Investment
• The Loadstar: LX Pantos Acquires Logistics Hub
• Google Search: Korea Ocean Business Corp. Georgia
• CoStar: South Korean Logistics Providers Acquire Warehouses
• Encyclopedia Britannica: Georgia